Atlassian (NASDAQ:TEAM) surged 17% on Friday after the collaboration software company reported stronger-than-expected quarterly earnings and revenue, with subscription growth exceeding analyst expectations.
For its fiscal second quarter, Atlassian posted earnings per share of $0.96, beating Wall Street estimates of $0.62 by $0.34.
Revenue came in at $1.29 billion, surpassing the consensus forecast of $1.23 billion.
The company, which is approaching a $5 billion annualized revenue run rate, also reported strong growth across its cloud and data center businesses.
Cloud revenue rose 29.7% year-over-year, while data center revenue climbed 31.9%.
Subscription revenue climbed 30% year-over-year, while premium and enterprise product sales expanded by 40%.
Looking ahead, Atlassian projected fiscal third-quarter revenue of $1.345 billion to $1.353 billion, ahead of the $1.32 billion consensus.